ExxonMobil may call bids for Tapis jobs

By Sharen Kaur
Published in NST on June 8 2010


EXXONMOBIL Exploration and Production Malaysia Inc is expected to call for bids to construct platforms and pipelines for its US$1 billion (RM3.3 billion) Tapis oil recovery project in Terengganu.

ExxonMobil Subsidiaries in Malaysia chairman Hugh Thompson said the company is currently in front-end engineering to identify the facilities that it will need for the Tapis oil field.

This will take a few months, he said on the sidelines of the Asia Oil and Gas Conference in Kuala Lumpur yesterday.

The Tapis oil development lies in a water depth of 64m, about 190km off Terengganu.


It was reported that leading fabricators like Malaysia Marine and Heavy Engineering Sdn Bhd, Kencana HL Sdn Bhd and Sime Darby Engineering Sdn Bhd are expected to bid for the contract to fabricate the platform.

The contract involves fabricating topsides of up to 20,000 tonnes and a 6,000-tonne eight-legged jacket and it should take about 24 months to complete. Offshore installation should take place by 2013 for production to commence.

"Tapis is important as it is another way to build partnership. It may lead to potential for us to do bigger projects here," Thompson said.

ExxonMobil has invested more than US$15 billion (RM50 billion) in Malaysia over the past 117 years.

The company signed last year a 25-year production sharing contract (PSC) with Petronas and Petronas Carigali Sdn Bhd to develop seven oil fields, namely Tapis, Seligi, Guntong, Semangkok, Irong Barat, Tabu and Palas.

Under the terms of the PSC, the three parties will spend a minimum of US$2.1 billion (RM6.9 billion) to undertake major enhanced oil recovery projects, rejuvenation of facilities as well as development and drilling activities in the fields.

This is currently the biggest project for ExxonMobil in Malaysia and it is looking for more jobs.

-ENDS-